4 reasons to run, page-3

Hi 5hareholder, I don't post charts too often these days but thought I would add some more TA context to yours.

Firstly SSN (heads):



Price has obviously consolidated since peaking for the 1st time at 7.9 - witness the distinct lack of volume after the 1st peak, including where it peaked a 2nd time at 7.9 on very little volume (i.e. very little buying strength). It's stayed above the 38.2% fib level which is a sign of strength, and has essentially formed a trading channel with two waves so far completed within that channel. The downtrend resistance formed by the current wave down looks about to be pressured as price is currently near (but slightly above) the bottom of the trading channel which coincides with that fib level and early August low.

To me the chart provides a good reflection of where the market values SSN based on the closure of the GC transaction/deal - i.e. it has been re-rated to around the 7.0 mark. Whether or not the market is right is irrelevant - many of us I know think its worth more - but what the market says goes.

I think the chart is ripe now for the next wave, which I'm sure will break the trading channel to the upside, based on the next rounds of drilling results, which are what the company's really all about. You'll know when that happens cos those little volume bars will become big volume bars :-)

Secondly SSNO (options) which is what I hold:



I was looking for price here to potentially fill that glaring gap from 4.4 to 4.7, but instead it opted to use the top of the gap as support - a good sign I think. Other than that, SSNO's chart pattern of course shows similar characteristics to SSN.

All in all, I'd say its clear that we've found our current support level and price for SSN is now rated around a mean of 7.0 and SSNO around a mean of 5.5 as you'd expect. Drill results not such much in the Stockyard field but more importantly the first indications of results in GC will provide the next large step (up) I think.

Cheers, Sharks.